I've got some experience in the manufacturing side of things. Companies take into consideration many things besides materials, labor, and R&D when establishing their prices. They also consider where they want to position themselves and their products within the market hierarchy which is typically
ultra premium (special and limited edition stuff)
premium (top of the line gear)
prosumer (consumer level but with a few premium features added)
consumer (average)
bargain (dirt cheap)
Now consider for a moment, designer handbags (Gucci, Coach, etc.) that women swoon over. Looking at just the material, manufacturing process, packaging, and shipping to get it to the store, does the expense come close to matching the outrageous price tag? Not even close.
Companies also consider their competition, customer demographics, market trends, fixed and variable costs of the business, etc.
Also, what RoLo said is spot on. Just look at how many lures companies have been acquired by Rapala. It's all about volume (the walmart and costco way). I've chased bad (from profit potential perspective) business ideas when I was young. It's beyond frustrating figuring out later that you could have put all that time and effort into something that was actually profitable. Trying to make any kind of real profit selling lures, when you consider cost of branding, marketing, manufacturing, shipping, and labor just seems like a poor career path, unless you enjoy it as a hobby, or have plans to actually grow the company.